Volkswagen Group is confident it can build an electric car that will cost about $27,000.This means that the electric car will be priced at approximately ¥2.2 million. The German auto giant also believes such pricing won’t hurt the company’s revenue stream, according to British car publication Autocar UK.
In an interaction, VW Group Chief Financial Officer Arno Antlitz said the company was confident it could launch an affordable electric car without losing money. His comments came as Volkswagen revealed the ID. 2all concept car, which is expected to launch a Polo-like electric vehicle when it goes on sale as a production model sometime in 2025. Expect the electric car to cost around $27,000 in Europe.
(Also check out: Honda’s e:Ny1 electric SUV with 412 km of range)
Interestingly, Volkswagen is also working on another smaller, more affordable EV that will bear the ID.1 nomenclature. Expect to sell for around $22,000.
In addition to its forthcoming affordable electric car, Volkswagen plans to make the most of its car brand portfolio by producing similar electric vehicles under the Skoda and Cupra brands. Speaking of the strategy, Antlitz said the brand is confident doing a lot in terms of economies of scale. “Now we can do a lot in terms of economies of scale. In our Volkswagen brand group we are producing four models plus the Cupra and Skoda. This volume will help us lower our prices to be competitive while still making money,” he said. explain.
As well as producing affordable electric cars, the Volkswagen Group is developing its own battery packs and producing them in-house at a plant in Valencia, Spain. The battery packs are expected to go a long way toward helping the auto giant cash in on upcoming affordable electric models. “There’s been a lot of innovation in terms of technology. The car will have the first in-house batteries from our Valencia factory. We’re accelerating; we’ll have a lot more scale by then,” said Volkswagen’s chief financial officer.
First published date: May 14, 2023 at 10:26 AM CST